NASCLA Contractor's Guide, NASCLA Contractors Guide
UPDATED ACTUAL Questions and CORRECT Answers
1. Name the elements of a business plan -cover page
-executive summary
-company summary
-products and services
-market analysis
-marketing strategy
-financial plan
2. advantages of sole proprietorship -minimal legal restrictions
-simple ownership form
-low start up costs
-sole ownership of profits
-freedom in decision making process
3. disadvantages of sole proprietorship -unlimited personal liability
-less available capital
-possible diflculty obtaining long-term
financing
-dissolution of the business on the even
of the owner's death
4. who has limited liability in the company? limited partners
5. advantages of a general partnership -ease of formation
-direct profit rewards
-larger management base than that of a
sole proprietorship
6. disadvantages of a general partnership -unlimited personal liability of general
partners
-multiple decision makers
-limited life of the business
-changes of partners or partnership
, NASCLA Contractor's Guide, NASCLA Contractors Guide
UPDATED ACTUAL Questions and CORRECT Answers
agreement may be diflcult
-partnership dissolves in the event of the
death of a general partner
7. bid documents -invitation to bid
-bid instructions
-bid forms
-supplements
8. what is an invitation to bid gives a brief overview of the project,
deadlines, and general requirements
9. bid instructions contain specifics of how the bis should
be completed and submitted
10. bid forms bid sheet
bid schedule
bidder's questionnaire on the experi-
ence
financial responsibility and capability
copy of the contract
11. supplements includes all items important to the overall
bid process such as property and soil
analysis
12. what is the estimating checklist helpful for? when setting up your estimating frame-
work to make sure that you have ac-
counted for all materials and labor
13. what is the most effective estimating quantity take off method
method?
14. what is labor burden
, NASCLA Contractor's Guide, NASCLA Contractors Guide
UPDATED ACTUAL Questions and CORRECT Answers
(30% of labor cost)
medicare and social security
federal unemployment insurance
worker's compensation
liability insurance
state unemployment insurance
company benefits (health insurance, va-
cations)
15. small tools and pickup trucks are examples what are indirect costs
of?
16. what are allowances items not specified in the project plans
such as carpeting, fixtures, and lighting)
17. what are contingencies percentages added to the estimate to
protect the contractor if an unanticipated
problem occurs
18. what is project overhead cost that covers items necessary to com-
plete the project but not directly associ-
ated with the labor and materials
19. bonds, temporary storage, temporary of- project overhead
fice, security guard, utilities, dumpsters,
and portable toilets are examples of?
20. the cost of doing business (expenses neces- company overhead
sary to keep the business running) is?
21. office rent, accounting fees, taxes, tele- company overhead
phone, legal fees, and administrative labor
are examples of?
UPDATED ACTUAL Questions and CORRECT Answers
1. Name the elements of a business plan -cover page
-executive summary
-company summary
-products and services
-market analysis
-marketing strategy
-financial plan
2. advantages of sole proprietorship -minimal legal restrictions
-simple ownership form
-low start up costs
-sole ownership of profits
-freedom in decision making process
3. disadvantages of sole proprietorship -unlimited personal liability
-less available capital
-possible diflculty obtaining long-term
financing
-dissolution of the business on the even
of the owner's death
4. who has limited liability in the company? limited partners
5. advantages of a general partnership -ease of formation
-direct profit rewards
-larger management base than that of a
sole proprietorship
6. disadvantages of a general partnership -unlimited personal liability of general
partners
-multiple decision makers
-limited life of the business
-changes of partners or partnership
, NASCLA Contractor's Guide, NASCLA Contractors Guide
UPDATED ACTUAL Questions and CORRECT Answers
agreement may be diflcult
-partnership dissolves in the event of the
death of a general partner
7. bid documents -invitation to bid
-bid instructions
-bid forms
-supplements
8. what is an invitation to bid gives a brief overview of the project,
deadlines, and general requirements
9. bid instructions contain specifics of how the bis should
be completed and submitted
10. bid forms bid sheet
bid schedule
bidder's questionnaire on the experi-
ence
financial responsibility and capability
copy of the contract
11. supplements includes all items important to the overall
bid process such as property and soil
analysis
12. what is the estimating checklist helpful for? when setting up your estimating frame-
work to make sure that you have ac-
counted for all materials and labor
13. what is the most effective estimating quantity take off method
method?
14. what is labor burden
, NASCLA Contractor's Guide, NASCLA Contractors Guide
UPDATED ACTUAL Questions and CORRECT Answers
(30% of labor cost)
medicare and social security
federal unemployment insurance
worker's compensation
liability insurance
state unemployment insurance
company benefits (health insurance, va-
cations)
15. small tools and pickup trucks are examples what are indirect costs
of?
16. what are allowances items not specified in the project plans
such as carpeting, fixtures, and lighting)
17. what are contingencies percentages added to the estimate to
protect the contractor if an unanticipated
problem occurs
18. what is project overhead cost that covers items necessary to com-
plete the project but not directly associ-
ated with the labor and materials
19. bonds, temporary storage, temporary of- project overhead
fice, security guard, utilities, dumpsters,
and portable toilets are examples of?
20. the cost of doing business (expenses neces- company overhead
sary to keep the business running) is?
21. office rent, accounting fees, taxes, tele- company overhead
phone, legal fees, and administrative labor
are examples of?
